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President Trump signs student loan debt forgiveness for disabled veterans

LOUISVILLE, Ky. — Student loan debt held by disabled veterans will be forgiven under an order signed Wednesday by President Donald Trump.

Trump said the order would direct the Department of Education to "eliminate every penny of federal student loan debt" owed by American veterans who are completely and permanently disabled.

"There will be no federal income tax on the forgiven debts," Trump said, saying he'll also ask states to waive their taxes on the loans. America, he said, owes its heroes "a supreme debt of gratitude."

The administration says just half of the roughly 50,000 disabled veterans who are qualified to have their federal student loan debt forgiven have received the benefit because of a burdensome application process. Trump issued the order during his address at the AMVETS convention in Louisville and signed it afterward.

US President Donald Trump sign a Presidential Memorandum on Discharging the Federal Student Loan Debt of Totally and Permanently Disabled Veterans, at the American Veterans 75th National Convention in Louisville, Kentucky, on August 21, 2019. (Photo by MANDEL NGAN / AFP) (Photo credit should read MANDEL NGAN/AFP/Getty Images)

The document directs the government to develop an "expedited" process so veterans can have their federal student loan debt discharged "with minimal burdens."

Trump was visiting Kentucky to speak to more than 2,500 veterans at the nonpartisan service organization, also known as American Veterans.

Trump also was expected to headline a Louisville fundraiser for Republican Gov. Matt Bevin's reelection effort.

Bevin is running against Democratic state Attorney General Andy Beshear in what's shaping up to be a close November election.

Bevin plays up his Trump ties in pitching for a second term. Trump recently promised to hold a campaign rally for Bevin.

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